Famous Brands holds on to dividend as Covid-19 hits restaurants
Famous Brands, the owner of Steers, Wimpy and Debonairs Pizza, has opted to hold on to its final dividend after reporting a severe hit to sales as a result of the Covid-19 pandemic.
“Our further concerns are centred on how long the lockdown and trading restrictions will remain in force, as well as the potential impact on consumer spending behaviour post-lockdown,” the group said.
The group returned to profit in its year to end February, as it recovered from writedowns of its struggling UK Gourmet Burger King business in the prior comparative period.
The group reported profit of R426m in its year to end-February, having reported a loss of a similar amount previously. In the prior financial year it declared a dividend of R1 per share, having 100-million shares in issue. It paid an interim dividend of 90c for its six months to end-August.
The group has 24 restaurant brands, represented by 2,898 restaurants across SA, the rest of Africa, the Middle East and the UK.